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Canada February International Merchandise Trade Report (Text)

April 12 (Bloomberg) -- The following is the text of
Canada’s international merchandise trade report for February
from Statistics Canada.

Canada’s merchandise exports declined 3.9% and imports
edged up 0.2%. As a result, Canada’s trade surplus decreased
from $1.9 billion in January to $292 million in February.

Exports declined to $39.6 billion, as volumes fell 3.5% in
February. After posting several monthly increases, exports of
energy products and automotive products were the main
contributors to the overall decline.

Imports increased to $39.3 billion in February as prices
rose 1.0%. The gain in imports of energy products was partially
offset by a decline in automotive products.

Exports to the United States decreased 3.8% to $29.3
billion. Lower exports of crude petroleum were the largest
contributor to the decline. Imports from the United States edged
up 0.4% to $24.5 billion. Consequently, Canada’s trade surplus
with the United States decreased from $6.1 billion in January to
$4.8 billion in February.

Exports to countries other than the United States fell 4.0%
to $10.3 billion. Imports from countries other than the United
States declined 0.2% to $14.9 billion. As a result, Canada’s
trade deficit with countries other than the United States
increased from $4.1 billion in January to $4.5 billion in
February.

Energy products and automotive products lead the decrease in
exports

Following three consecutive monthly increases, exports of
energy products fell 6.9% to $10.7 billion in February. Both
volumes and prices were down. Exports of crude petroleum, down
6.4%, and petroleum and coal products were the main contributors
to the decline. Exports of coal and other bituminous substances,
up 24.7%, recorded the only gain in the sector.

Exports of automotive products declined 11.9% to $5.4
billion, after five consecutive monthly increases. Volumes fell
11.7%. Exports of passenger autos and chassis, down 18.0%, were
the only contributor to the sector’s decline.

Exports of agricultural and fishing products decreased 4.7%
to $3.6 billion in February, mainly the result of lower volumes.
The decline was led by lower exports of canola, which fell 25.1%
after reaching a record high in January.

Exports of industrial goods and materials increased 1.3% to
$9.4 billion, as prices rose 2.4%. Fertilizers and fertilizer
materials as well as aluminum including alloys registered the
largest gains.

Energy products lead the gain in imports

Imports of energy products rose 18.3% to $5.0 billion, its
highest level since October 2008. Volumes were up 15.1%. Imports
of petroleum and coal products increased 39.2% to a record high
of $2.0 billion in February. The gain was largely because of
higher imports of pipeline diluents and aviation fuel.

Imports of industrial goods and materials increased 2.1% to
$8.4 billion, as prices were up 3.3%. Imports of metals and
metal ores rose 9.6% on the strength of precious metals and
alloys.

Imports of automotive products declined 6.2% to $6.2
billion in February, offsetting the gains recorded in January.
Both volumes and prices fell. Imports of motor vehicle parts led
the decline, down 9.8%, the result of lower volumes.

Note to readers

Merchandise trade is one component of Canada’s
international balance of payments (BOP), which also includes
trade in services, investment income, current transfers as well
as capital and financial flows.

International merchandise trade data by country are
available on both a BOP and a customs basis for the United
States, Japan and the United Kingdom. Trade data for all other
individual countries are available on a customs basis only. BOP
data are derived from customs data by making adjustments for
factors such as valuation, coverage, timing and residency. These
adjustments are made to conform to the concepts and definitions
of the Canadian System of National Accounts.

Data in this release are on a BOP basis, seasonally
adjusted and in current dollars. Constant dollars are calculated
using the Laspeyres volume formula.

Revisions

In general, merchandise trade data are revised on an
ongoing basis for each month of the current year. Current year
revisions are reflected in both the customs and BOP based data.

The previous year’s customs data are revised with the
release of the January and February reference months as well as
on a quarterly basis. The previous two years of customs based
data are revised annually and are released in February with the
December reference month.

The previous year’s BOP based data will be revised with the
release of the January, February, March and April 2012 reference
months.

Factors influencing revisions include late receipt of
import and export documentation, incorrect information on
customs forms, replacement of estimates produced for the energy
sector with actual figures, changes in classification of
merchandise based on more current information, and changes to
seasonal adjustment factors.